top of page
Search

Top Accounting Apps Every Small Business Should Consider

  • Writer: DM Monticello
    DM Monticello
  • 4 days ago
  • 7 min read

Why Choosing the Right Software Matters

As a small business owner, staying on top of your finances is critical—but it doesn’t have to be complicated. The best accounting software simplifies tasks like invoicing, tracking expenses, generating reports, and managing taxes. With automation and real-time data, it helps you stay compliant, reduce manual errors, and make better financial decisions.

Accuracy, Automation, and Scalability

Manually handling your books increases the risk of mistakes. Accounting software automates calculations, applies the correct tax rates, and categorizes transactions to ensure accuracy. As your business grows, scalable platforms allow you to add features like payroll, inventory tracking, and project billing without switching systems.

Time Savings and Stress Reduction

From auto-syncing bank feeds to setting up recurring invoices, accounting platforms eliminate hours of repetitive work. You can generate reports with a few clicks and prepare for tax season in minutes instead of weeks. Less time spent on bookkeeping means more time for growing your business.



Essential Features to Look For

Not all software is created equal. When evaluating your options, make sure they offer these key features:

Invoicing, Payments & Automation

Create professional invoices, set up recurring billing, and accept payments online. Look for customizable templates and integration with payment processors like Stripe, PayPal, or credit cards.

Bank Feeds & Reconciliations

The software should automatically import transactions from your business bank accounts, match them to existing records, and make monthly reconciliation fast and easy.

Payroll & Contractor Management

If you work with employees or freelancers, payroll capabilities are essential. This includes tax calculations, direct deposit, and filing W-2s or 1099s.

Reporting & Dashboards

Access to profit & loss, balance sheets, and cash flow reports helps you monitor financial health. Bonus if the platform offers visual dashboards or custom KPIs.

Integrations With Business Apps

Top accounting tools sync with your CRM, time tracking, e-commerce platforms, and project management systems. This creates an efficient, end-to-end financial workflow.



The Best Accounting Software for Small Business (Top Picks)

Here’s a preview of the top platforms we’ll explore:

  1. QuickBooks Online – Versatile and feature-rich

  2. FreshBooks – Best for service-based businesses

  3. Xero – Strong for collaboration and international needs

  4. Wave – Best free option for startups

  5. Zoho Books – Best for automation and integration

  6. Sage Intacct – Advanced reporting for growing businesses

  7. QuickBooks Self-Employed – Tailored for freelancers



In-Depth Comparison: Best Accounting Software for Small Business

1. QuickBooks Online

  • Best For: Versatility and scalability

  • Price: Starts at $30/month

  • Features: Invoicing, bank feeds, payroll, inventory, class tracking

  • Pros: Broad functionality, large user community, strong integration ecosystem

  • Cons: Can get pricey as features scale

  • Ideal For: Small businesses with plans to grow or already managing multiple revenue streams

2. FreshBooks

  • Best For: Freelancers and service providers

  • Price: Starts at $19/month

  • Features: Time tracking, invoicing, project collaboration, expense tracking

  • Pros: Simple interface, excellent customer service, mobile-friendly

  • Cons: Less suitable for inventory or retail businesses

  • Ideal For: Consultants, creatives, and contractors

3. Xero

  • Best For: Remote teams and international businesses

  • Price: Starts at $15/month

  • Features: Unlimited users, multi-currency, invoicing, bank reconciliations

  • Pros: Robust integrations, great user access flexibility

  • Cons: Limited customer service options

  • Ideal For: Teams working across multiple locations or currencies

4. Wave

  • Best For: Startups and solopreneurs

  • Price: Free (add-ons for payroll and payments)

  • Features: Accounting, invoicing, receipt scanning

  • Pros: No cost for core features, easy to use

  • Cons: Limited support and scalability

  • Ideal For: Solo entrepreneurs and new businesses on tight budgets

5. Zoho Books

  • Best For: Businesses already using Zoho suite

  • Price: Starts at $20/month

  • Features: Automation workflows, client portals, inventory

  • Pros: Excellent value, deep customization, automation

  • Cons: Learning curve for non-Zoho users

  • Ideal For: E-commerce and tech-forward businesses

6. Sage Intacct

  • Best For: Larger small businesses or those transitioning to mid-market

  • Price: Custom pricing

  • Features: GAAP reporting, cost center management, consolidated financials

  • Pros: Powerful reporting, ideal for complex financials

  • Cons: Not beginner-friendly; may require IT support

  • Ideal For: Businesses preparing for audits, funding, or expansion

7. QuickBooks Self-Employed

  • Best For: Freelancers and gig workers

  • Price: Starts at $15/month

  • Features: Expense tracking, mileage logging, quarterly tax estimates

  • Pros: Tailored for independent workers

  • Cons: Not scalable for LLCs or payroll

  • Ideal For: Solo professionals and contractors



How to Choose the Best Software for Your Business

Business Size & Complexity

  • Solo business or freelancers: Start with Wave or QuickBooks Self-Employed

  • Growing team with payroll: QuickBooks Online, Xero, or Zoho Books

  • Product-based or inventory-heavy business: Sage or Zoho Books

  • Global operations or remote workforce: Xero or Sage Intacct

Budget Considerations

Look beyond base price. Consider add-ons like payroll, advanced reporting, or integrations. For example, QuickBooks can cost over $100/month with payroll, while Wave might suffice for free.

Industry and Tax Needs

Check if the platform supports your industry’s reporting standards and state or international tax regulations. Construction, legal, and nonprofit sectors often require niche features.

Ease of Use and Support

Pick tools with excellent onboarding and customer support if you’re not a finance pro. FreshBooks and Zoho score high on usability and training resources.



DIY or Professional Assistance?

Pros of Managing It Yourself

  • Full control and insight

  • Cost-effective

  • Immediate access to reports and cash flow

Risks of DIY

  • Misclassification of expenses

  • Missed tax deductions

  • Manual errors in reconciliation

When to Call in the Pros

If you’re behind on bookkeeping, lack confidence during tax time, or plan to grow, partnering with a service like OpsArmy ensures accuracy, scalability, and peace of mind.



Onboarding, Setup & Migration Tips

Best Practices

  • Start at month-end for a clean cutover

  • Export data from old software (e.g., CSVs of invoices, contacts, transactions)

  • Set up a new chart of accounts aligned with your reporting goals

  • Sync banks, credit cards, and payment processors early

Common Mistakes to Avoid

  • Failing to back up data

  • Skipping staff training

  • Not customizing chart of accounts

  • Overlooking local tax rules and deadlines



How the Right Accounting Software Drives Business Growth

Accounting software isn’t just about keeping your books in order—it can actually accelerate your business growth. With the right program, you gain financial clarity, streamline operations, and uncover opportunities that would otherwise be hidden in spreadsheets or paper receipts.

Real-Time Financial Insights

Knowing exactly where your business stands financially is a game-changer. Most modern accounting software offers real-time dashboards that track your revenue, expenses, profit margins, and cash flow. This visibility lets you spot trends, respond to challenges, and adjust your strategy without waiting for a month-end report. With instant access to financial health metrics, you can confidently make decisions about hiring, pricing, or marketing.

Improved Cash Flow Management

One of the top reasons small businesses fail is poor cash flow management. Accounting software helps you monitor when money is coming in and when bills are due. With automated invoice reminders, recurring payments, and alerts for overdue accounts, you reduce the risk of payment delays. Better cash flow means you can invest more freely in inventory, staff, or technology—key components of business growth.

Easier Access to Capital and Funding

Whether you’re applying for a loan or pitching to investors, your financials must be clear and credible. Accounting software helps you produce professional income statements, balance sheets, and forecasts on demand. This makes it easier to show lenders that your business is financially sound. Clean books also build investor confidence and can be the difference between a successful funding round and a missed opportunity.

Cost Reduction Through Automation

Manual data entry is not only time-consuming but also error-prone. Accounting software automates invoicing, reconciliations, payroll, and even tax calculations. Over time, this cuts down the cost of labor, minimizes mistakes, and eliminates redundant tasks. With fewer resources tied up in administrative work, you can allocate more toward marketing, product development, or customer service—areas that drive actual growth.

Scalability and Flexibility

As your business expands, your financial operations become more complex. You may need to track multiple revenue streams, manage payroll for a growing team, or handle international transactions. The right accounting software scales with your needs—adding features like inventory management, advanced reporting, and multi-user access as you grow. This flexibility allows you to focus on expansion without worrying about switching systems.

Strategic Planning and Budgeting

Many accounting programs offer built-in tools for forecasting and budgeting. You can model different financial scenarios, plan for seasonal fluctuations, and set realistic targets based on historical data. This level of planning helps you avoid overextending your resources and ensures that every dollar spent is aligned with your business goals.

Better Team Collaboration

When your accounting software allows multiple users—such as your admin team, accountant, and tax advisor—everyone works from the same up-to-date data. This reduces miscommunication and speeds up approvals, audits, and financial reviews. Enhanced collaboration leads to smoother operations and faster problem-solving, which is essential during periods of rapid growth.

Enhanced Compliance and Audit Readiness

Staying compliant with tax regulations, labor laws, and financial reporting standards is non-negotiable. The right software ensures that your records are accurate, organized, and audit-ready at all times. Many platforms include features like tax reporting, W-2/1099 generation, and digital audit trails. This level of compliance helps you avoid penalties and maintain a solid reputation—critical for long-term growth.

Customization and Integration With Other Tools

Your accounting software should work seamlessly with your other business tools. The best platforms integrate with CRM systems, time trackers, inventory apps, and e-commerce stores. This interconnected ecosystem reduces manual work, improves data accuracy, and allows for customized workflows that support how your business actually operates.



How OpsArmy Supports Your Accounting Software Transition

Software Selection & Setup

We analyze your needs and recommend the best-fit software. Then, we handle setup, connect integrations, and configure dashboards tailored to your business goals.

Month-End Reconciliation and Reporting

Our AI-augmented teams reconcile your books monthly, prepare reports, and ensure everything is tax-ready—without you lifting a finger.

Seamless Collaboration With Accountants

We work alongside your CPA or tax advisor, keeping your books clean, compliant, and ready for audits or funding discussions.



Final Takeaways

Choosing the best accounting software for your small business comes down to fit—your team size, goals, and preferred workflows. While there are many great tools, the right choice is the one that simplifies your life, grows with your business, and offers the features you need without overpaying.

Pair your software with expert support from a team like OpsArmy to maximize results and minimize financial headaches.



Sources

 
 
 

Comments

bottom of page